NEW YORK, Feb 18, 2026, 18:08 EST — Trading after the bell.
- Analog Devices shares climbed in after-hours trading, following quarterly results and an outlook that beat Wall Street expectations.
- Management cited stronger bookings, highlighting surging data-center orders—now at record highs—and a pickup in industrial demand.
- The chipmaker bumped up its dividend for the quarter.
Shares of Analog Devices (ADI.O) climbed roughly 2.6% after hours Wednesday, last trading at $346.37.
This shift is catching attention — investors have been searching for straightforward signs that demand for industrial chips is shifting. Analog Devices, positioned right at the heart of factory operations, often shows order trends that hint at the outlook for automation and equipment budgets.
There’s another angle here: AI spending isn’t stopping at the headline processors. Cash is flowing into power, signal, and data-movement chips, too. Those pockets of the sector, left behind earlier in the cycle, are seeing new money arrive.
The company posted a 30% jump in fiscal first-quarter revenue, hitting $3.16 billion, with adjusted diluted EPS landing at $2.46. “Adjusted” here excludes certain items, like acquisition-related expenses. For the current quarter, the forecast stands at $3.5 billion in revenue, give or take $100 million, and adjusted EPS targeted at $2.88, plus or minus $0.15. CFO Richard Puccio pointed to continued bookings growth, fueled by industrial strength and record-setting data-center orders, but flagged ongoing challenges in the broader macro and geopolitical landscape. (SEC)
Analog Devices bumped up its quarterly dividend by 11%, setting the new payout at $1.10 a share for investors on record as of March 3. The dividend hits accounts March 17. CEO Vincent Roche pointed out that the company has notched 29 consecutive years of positive free cash flow, while returning over $32 billion to shareholders through dividends and buybacks since launching its capital return program. (SEC)
That outlook topped what analysts were expecting. Reuters noted the company linked its demand to both industrial buyers and data-center expansion, with cloud operators racing to support generative AI. The stock jumped almost 8% ahead of the bell following the news. (Reuters)
Analog Devices stands among the bigger analog chipmakers, battling Texas Instruments and Microchip Technology for a place inside factory machinery, communications setups, and equipment that draws a lot of power. That blend of end-markets has its upside—demand tends to be more stable than what you see with consumer tech—but the business is still very much tied to swings in capital spending.
Wednesday’s release dropped a couple of terms worth flagging for the next stretch. “Bookings”—that’s just orders coming in, and investors lean on it to get a sense of where the next few quarters are headed, whether things are picking up or slowing down. Free cash flow shows how much money is left after capital expenditures; that’s the pool companies dip into for dividends and buybacks.
But it isn’t a guaranteed ride up. Analog chips remain sensitive to shifts in industrial demand, and management has flagged macro and geopolitical risks—leaving open the chance orders could soften if customers hit pause or inventories start piling up again.
Traders are eyeing whether the post-earnings momentum sticks heading into the next session, with analysts tweaking targets and issuing new calls. Eyes shift to the dividend record date, March 3, followed by the payment on March 17—both locked in.
